Find the present value of an icome stream that has a negative flow of
$100 per year for 3 years, a positive flow of $200 in the 4th year,
and a positive flow of $300 per year in years 5 through 8. The
appropriate discount rate is 4 percent for each of the first 3 years
and 5 percent for each of the later years. Thus, a cash flow accruing
in year 8 should be discounted at 5 percent for some years and 4
percent in other years. All payment accur at year-end.
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